Binance, the world’s biggest cryptocurrency exchange, and its founder Changpeng Zhao are facing a serious accusation: money laundering.
Binance Accused of Ignoring Laws for Profit
A new class-action lawsuit claims Binance intentionally avoided registering with US authorities and failed to implement proper anti-money laundering measures. The lawsuit alleges that this deliberate negligence turned Binance into a haven for criminals looking to clean dirty money.
Binance.US: A Distraction?
The lawsuit also accuses Binance of creating its US branch, Binance.US, as a way to mislead US regulators. It claims Binance.US was a smokescreen, not a genuine attempt to comply with US regulations.
Experts Weigh In
Blockchain expert Bill Hughes believes that Zhao will likely settle the lawsuit before it goes to trial. However, he warns that if the case does proceed, it could have major implications for blockchain analytics and on-chain asset recovery.
A Blow to the Crypto Industry?
This lawsuit could have a significant impact on the cryptocurrency industry. If Binance is found guilty of money laundering, it could damage public trust in the entire sector.
